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1 Civil aviation Bill 1 (1977)

handle is hein.pio/hcbillaaozl0001 and id is 1 raw text is:                                                                 'l1l

                   Civil     Aviation        Bill         I      EC 1977








       EXPLANATORY AND FINANCIAL MEMORANDUM

       Clauses 1 to 4 of the Bill provide for an Aviation Security
    Fund  from which payments  may be made  in respect of expenses
    incurred for the purpose of protecting aircraft, aerodromes or
    air navigation installations against acts of violence or in connec-
    tion with the policing of airports. The Protection of Aircraft
    Act  1973 enables reimbursement  of aviation security expendi-
    ture to be made  to airlines, airport authorities and authorities
    responsible for  air navigation  installations in the United
    Kingdom   out of monies voted by Parliament; and the Policing
    of Airports Act 1974 enables reimbursement out of such monies
    to  airport authorities of the costs attributable to aviation
    security measures  under the  Act.  Clause 1  establishes the
    Aviation Security Fund and  provides that payments under the
    1973  and  1974 Acts  shall normally be defrayed  out of the
    Fund.  Clause 2 sets out the bases for regulations requiring con-
    tributions to be made  by aerodrome  authorities to the Fund.
    Clause 3 deals with the Secretary of State's borrowing powers in
    respect of the Fund. Clause 4 enables the Fund to be wound up.

       Clause 5 provides for an increase in the borrowing powers of
    the Civil Aviation Authority and  the British Airways Board.
    The  Civil Aviation Act  1971 imposes a  limit of £75 million
    on the aggregate of the CAA's initial debt and borrowings and
    this limit would be raised to £125 million. There is also pro-
    vision for the CAA   to borrow  in excess of that amount for
    the purpose of paying off a loan or the initial debt; the BAB
    already has this power. The clause provides for the limit upon
    borrowings  by the BAB  to be increased by affirmative resolu-
    tion from £700  million to a maximum   of £850 million. The
    clause also amends section 8(1) of the Act of 1971 to allow the
    CAA   to borrow temporarily from the Secretary of State as well
    as from others with his consent or authorisation, given with the
    approval of the Treasury.

      Clause  6 requires the CAA  to act on lines approved by the
    Secretary of State in carrying out proposals involving the hiring,
    as an alternative to purchase, of equipment which, if purchased
    outright would  involve substantial capital outlay. The CAA
    is already required to act in  this way in respect of capital
    purchases.
         [Bill 41]                                      47/4

1977       - 7